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Wealth management startup AssetPlus has raised $3.6 Mn in a Series A funding round led by Bhupinder Singh from InCred and Nithin Kamath from Rainmatter. 

The round, which was an equity funding round, saw participation from Venture Catalysts and angel investors including Swaroop Kittu Kolluri, Amit Nanavati, and Kedar Kulkarni, among others. 

The fresh capital will be used to expand AssetPlus’ business and launch new financial products on the platform. 

With this fundraising, AssetPlus aims to onboard over 10K distributors and more than 5 lakh investors on the platform in the next 18 months.

Founded in 2016 by Vishranth Suresh and Awanish Raj, AssetPlus is an app-based wealth management platform for investors and mutual funds distributors (MFDs). 

It helps new investors plan and track their investments in the mutual fund space while it facilitates MFDs to digitise their businesses, find new customers and maintain their clients’ portfolios. 

AssetPlus provides a free subscription to registered ARN-holders and helps expand their services to new geographies. It claims to have served over 1500 distributors and onboarded more than 225K users on the platform. It further asserts to have processed more than INR 750 Cr worth of transactions in the last fiscal year (FY21).

AssetPlus faces competition from Groww, ETMONEY, Zerodha, KFinKart, KTrack and myCAMS in the wealth management sector.

Growth Of India’s Investment Tech Sector 

According to a report, the Indian mutual fund industry has recorded total assets under management (AUM) of the industry at $500 Bn until October 2021. The Indian investment tech 

market is poised to grow to over $60 Bn by FY25, from its current market size of $20 Bn.

In 2021, fintech startups raised $8 Bn in funding. Out of the total 280 deals reported in fintech, about 19.3% or 54 deals were recorded by the investment tech sector. The sector attracted $1 Bn in funding in the last year (2021).

The investment tech sector has gained momentum as a slew of business deals have occurred in this space. Yesterday, AI-driven financial lending platform CASHe forayed into the wealth management space with the acquisition of Gurugram-based wealthtech platform Sqrrl in an all-cash deal.

The deal came after CASHe announced raising INR 140 Cr ($18.7 Mn) in equity funding from Singapore-based holding company, TSLC Pte Ltd, in January this year.

In February this year, wealth management startup Wealthy raised $7.5 Mn in its Series A round led by Alpha Wave Incubation (AWI). AWI is backed by ADQ’s venture platform and managed by Alpha Wave Global (formerly known as Falcon Edge Capital).

The round also saw the participation of new investor Savrola Group and existing investors Venture Highway, Good Capital and Emphasis Ventures.